12 Oct Managing Compensation – How to Keep Your Employees Happy & Engaged
Proper compensation for the employee is absolutely critical in maintaining his/her happiness, motivation to work and ultimately determines if he/she will stay with the company in the long run. Managing compensation does not only include wages and bonuses, but also includes health benefits, stock options, reimbursements and other intangibles such as work-life balance.
The Goals of Compensation Management
Every company has a specific set of reasons why it wants to practice compensation planning and management. Here’s a list of the most common reasons why:
- Motivate employees to perform at a high level consistently
- Retaining top performers so they can continue to create value
- To attract the top talents in the market that is increasingly starved of qualified individuals.
A good compensation management plan needs to achieve all of the points above as well as being able to easily track data and allowing room for continuous improvement in the long run.
Effective Compensation Management
Traditional ways of implementing compensation management using spreadsheets and paper are no longer the helpful way of doing things. In fact, instead of helping, they are a hazard to daily HR operations (error prone etc).
To run an effective compensation plan, you need to use a tool or platform that actually makes your job easier and yields better results. With this, compensation management software can provide the following benefits:
- Intelligently allocating appropriate compensation to employees
- Track historic data
- High level of transparency so the employees can understand how they are being compensated
- Maintaining competitive pay rate versus the market
In a nutshell, using the right tool for the right job will provide you with the best possible return on your investment. Effective compensation management needs to start with using quality compensation management software. This software will be highly adaptable to your needs in the ever-shifting landscape of corporate environment.
HRsoft – The Compensation Management Software Leader
HRsoft is an award-winning talent management software company that specializes in cloud-based HR solutions built to improve manager effectiveness and business results. Our complete suite of configurable HR SaaS software integrates with any HRIS and include best-of-breed solutions for applicant tracking, compensation planning, total rewards, performance management, stay interviews, content management and more. To learn more about our Compensation Management System, COMPview™ click the button below!